Replying to @⁨db2@lemmy.world⁩

In the same vein, this is partly why I’ve never understood the mindset of individual investors. Like, it’s extremely arrogant to seriously believe that you have an edge over highly resourced institutions and billionaire investors who can afford the best analysts and mathematical models on top of their market influence. I can assure you that whatever strategy you have, theirs is better, and they don’t have to play by the same rules. What can you hope to bring to the table when you’re swimming with these sharks?

Edited ⁨⁨Jul⁩ ⁨24⁩, ⁨2026⁩, ⁨12:42⁩⁩en

Replying to @⁨henfredemars@infosec.pub⁩

Movies like the Big Short, Margin Call, shows like Billions, or whatever the inheritance show was, make people think they can be the ones smarter.

However, most individual investors aren’t usually of the arrogance that they’ll do better than the billionaires and hedge funds just of the arrogance they can still get more scraps than others and won’t get eaten themselves.

Replying to @⁨henfredemars@infosec.pub⁩

Some folks like to gamble! More and more people are desperation gambling these days out of doomer mindsets that see 0dtes and kalshi bets as their way out of crushing poverty.

And here and there, it’s possible to look at pricing and conclude it’s pants-on-head bananas. Trading and therefore price action is dominated by algorithms which amplifies hype cycles. Who couldn’t see SpaceX as being overvalued? Other than the assholes at NASDAQ

Replying to @⁨Bustedknuckles@lemmy.world⁩

And here and there, it’s possible to look at pricing and conclude it’s pants-on-head bananas. Trading and therefore price action is dominated by algorithms which amplifies hype cycles. Who couldn’t see SpaceX as being overvalued?

But that’s the problem. Many of us definitely knew SpaceX was overvalued. It should have been a no-brainer to short this stock at IPO… however, look at Tesla stock. That shit should have cratered years ago but still hasn’t. I wanted to short this stock, but I didn’t trust the Musk morons to not continue humping his sack. Even when you can see that something is pants-on-head bananas, there are enough idiots out there (and enough insider traders) making shit irrational.

Replying to @⁨henfredemars@infosec.pub⁩

yeap, you are 100% correct

Plus, it’s not anecdotal AND goes beyond your statement.

Through the years and statistical analysis, it has been proven that picking stock, even by professionals is still mostly luck. I think analysts have ran out of ridiculous examples of animals picking stock randomly and still coming on top in a long enough time period.

So if even the “professionals” are not really doing much, why would any individual nurture the thought that THEY could do better?

unwall.app/…/any-monkey-can-beat-the-market/

npr.org/…/housecat-beats-investors-in-stock-marke…

acquirersmultiple.com/…/daniel-kahneman-the-illus…

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